Navigate this market better. Subscribe for FREE stock alerts and information.

Friday, October 23, 2015

Lloyds fails to remove key allegation in HBOS pre-trial hearing, (NASDAQ: FISI)

Britain's Lloyds Banking Group has failed in an attempt to strike out a key allegation by a group of investors, suing it for allegedly misleading them in the run-up to its acquisition of Halifax Bank of Scotland (HBOS) in January 2009. The Lloyds Shareholder Action Group, including 5,700 private investors and 300 financial institutions such as pension funds and insurers, is seeking damages of 350 million pounds ($546 million), according to legal sources.At a pre-trial hearing on Friday, Judge Christopher Nugee rejected Lloyds' assertion that a shareholders' allegation was "fanciful", and should not feature in the trial, that it would not have needed to raise extra capital had it not acquired HBOS.The claimants, represented by law firm Harcus Sinclair, say the allegation is supported by a comment made by former Lloyds Chief Executive Eric Daniels to a committee of legislators in February 2009.

Financial Institutions, Inc. (FII) is a financial holding company. Shares of FISI traded higher by 0.39% or $0.1/share to $25.56. In the past year, the shares have traded as low as $21.67 and as high as $27.02. On average, 36948 shares of FISI exchange hands on a given day and today's volume is recorded at 7387.